Page:United States Statutes at Large Volume 98 Part 1.djvu/924

 98 STAT. 876

PUBLIC LAW 98-369—JULY 18, 1984 shall be the sum of the deferral percentages for such employee under each of such arrangements."

26 USC 401.

(b) APPLICATION TO P R E - E R I S A MONEY PURCHASE PLAN.— (1) GENERAL RULE.—Paragraphs (1) and (2) of section 401(k)

(relating to cash or deferred arrangements) are each amended by inserting "(or a pre-ERISA money purchase plan)" after "stock bonus plan". (2) DEFINITION OP PRE-ERISA MONEY PURCHASE PLAN.—Subsec-

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26 USC 401 note.

tion (k) of section 401 is amended by adding at the end thereof the following new paragraph: "(5) PRE-ERISA MONEY PURCHASE PLAN.—For purposes of this subsection, the term 'pre-ERISA money purchase plan' means a pension plan— "(A) which is a defined contribution plan (as defined in section 414(i)), "(B) which was in existence on June 27, 1974, and which, on such date, included a salary reduction arrangement, and "(C) under which neither the employee contributions nor the employer contributions may exceed the levels provided for by the contribution formula in effect under the plan on such date." (3) TECHNICAL AMENDMENT.—Subparagraph (B) of section 401(k)(2) is amended by striking out ", hardship or the attainment of age 59 Vz," and inserting in lieu thereof "(or in the case of a profit sharing or stock bonus plan, hardship or the attainment of age 59 ¥2). (c) EFFECTIVE D A T E S. — (1) SUBSECTION (a).—

(A) IN GENERAL.—Except as provided in subparagraph (B), the amendment made by subsection (a) shall apply to plan years beginning after December 31, 1984. (B) EXCEPTION FOR CERTAIN EXISTING PLANS.—The amendment made by subsection (a) shall not apply to any plan— (i) which was maintained by a State on June 8, 1984, and (ii) with respect to which a determination letter had been issued by the Secretary on December 6, 1982. (2) SUBSECTION (b).—

(A) IN GENERAL.—The amendments made by this section shall apply with respect to plan years beginning after the date of the enactment of this Act. (B) TRANSITIONAL RULE.—Rules similar to the rules under 26 USC 401 note. section 135(c)(2) of the Revenue Act of 1978 shall apply with respect to any pre-ERISA money purchase plan (as defined Supra. in section 401(k)(5) of the Internal Revenue Code of 1954) for plan years beginning after December 31, 1979, and on or before the date of the enactment of this Act. SEC. 528. TREATMENT OF CERTAIN MEDICAL, ETC., BENEFITS UNDER SECTION 415.

26 USC 415.

(a) GENERAL RULE.—Section 415 (relating to limitations on benefits and contributions under qualified plan) is amended by adding at the end thereof the following new subsection: "(1) TREATMENT OF CERTAIN MEDICAL BENEFITS.—

"(1) IN GENERAL.—For purposes of this section, contributions allocated to any individual medical account which is part of a

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